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Exercise 3: Ali Associates is a Trading company based in Salah industrial area. They are borrowing two loans for the following purposes: a. Delivery Vehicle
Exercise 3: Ali Associates is a Trading company based in Salah industrial area. They are borrowing two loans for the following purposes: a. Delivery Vehicle - RO. 20,000 for 6 years at 8% interest b. Loading Crain - 10 year loan of RO. 60,000 at 10% interest You are asked to calculate the following: i. Calculate the annual installments using present value of annuity table. ii. Construct an annual table of loan amortization schedule. iii. Provide the calculations related to segregation of annual interest and principal amount of the installments
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